In the Q1 2024 investor letter, Meridian Funds managed by ArrowMark Partners reported that risk assets continued to rise, accompanied by low market volatility. The Meridian Hedged Equity Fund appreciated 5.46% (net) in the quarter, which lagged behind the S&P 500 Index that returned 10.56%. The Fund also slightly lagged its secondary benchmark, the CBOE S&P 500 Buy/Write Index, which posted a 6.02% return. The top 5 holdings of the fund were also highlighted in the letter for investors to review.
One of the highlighted stocks in the Q1 2024 investor letter was NVIDIA Corporation (NASDAQ:NVDA), a leading provider of graphics, computing, and networking solutions. NVIDIA Corporation saw a monthly performance of 14.39% and its shares gained 209.64% over the last 52 weeks. The stock closed at $126.40 per share on June 26, 2024, with a market capitalization of $3.109 billion.
The investor letter praised NVIDIA Corporation for its strong performance driven by booming demand for data center products, particularly those related to artificial intelligence. The company’s GPUs have become an industry standard for training large language models, and its networking solutions are critical for maximizing AI system performance. NVIDIA’s latest Blackwell GPU platform is expected to extend its leadership in the AI accelerator market. The company has also benefitted from strong demand in its gaming business and plans to diversify into new markets like automotive and robotics.
NVIDIA Corporation is ranked fifth on the list of 31 Most Popular Stocks Among Hedge Funds, with 186 hedge fund holdings at the end of the first quarter. The company reported a record quarter with $26 billion in revenue, representing a 262% year-over-year increase. Investors looking for promising AI stocks at lower earnings multiples than NVIDIA can seek out other options in the market.
In summary, the Meridian Hedged Equity Fund’s Q1 2024 investor letter highlighted the fund’s performance in a rising market environment, with a focus on NVIDIA Corporation as a key holding that continues to demonstrate strong growth potential in various sectors. Investors were encouraged to review the fund’s top holdings and consider the opportunities presented by companies like NVIDIA Corporation in their portfolios.
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https://finance.yahoo.com/news/nvidia-corporation-nvda-jumped-booming-112316692.html